STRATA Skin Sciences (SSKN) Q4 2025 earnings summary

Executive summary

• Revenue for 2025 was $30.7 million, down 9% from $33.6 million in 2024, driven by a 26% decline in dermatology procedures equipment sales, partially offset by a 1% increase in recurring procedures revenue.

• Net loss for 2025 was $6.3 million, an improvement from a net loss of $10.1 million in 2024, primarily due to the absence of goodwill impairment and recognition of settlement gains.

• The company’s shares were delisted from Nasdaq in February 2026, triggering a default on its Senior Term Facility and raising substantial doubt about its ability to continue as a going concern.

• Management is actively seeking new financing and strategic alternatives to address liquidity concerns.

Financial highlights

• Gross profit for 2025 was $17.9 million (58.3% margin), down from $19.2 million (57.3% margin) in 2024.

• Dermatology recurring procedures revenue was $21.5 million (up 1%), while equipment revenue was $9.2 million (down 26%).

• Operating expenses decreased to $22.6 million from $28.5 million, reflecting lower impairment and development costs.

• Cash and cash equivalents at year-end were $7.9 million; outstanding debt was $15.0 million.

• Adjusted EBITDA for 2025 was $0.6 million, compared to $0.8 million in 2024.

Outlook and guidance

• Management expects continued operating losses in the near term as it invests in sales, marketing, and product development.

• The company’s ability to continue as a going concern depends on regaining debt covenant compliance, modifying debt, or securing new financing.

• Ongoing global conflicts, tariffs, and supply chain disruptions may impact future results.